Omaha, Nebraska – (February 27, 2012) – Farm Credit Services of America (FCSAmerica), a financial cooperative with nearly $17 billion in assets, today announced financial results for calendar year 2011.
Net income for 2011 was $456.4 million compared to $419.1 million for 2010. The increase in net income was primarily due to net interest income from the growth in loan volume and a reduction in the provision for credit losses due to improvement in credit quality, partially offset by a decrease in noninterest income and an increase in noninterest expense.
Loan volume increased to $15.891 billion from $15.545 billion at the end of 2010. The increase was primarily in the real estate portfolio, partially offset by the sale of $1.304 billion in trade credit financing that originated under the AgDirect® program.
Members' equity increased to $2.874 billion compared to $2.550 billion at the end of 2010. Total assets were $16.906 billion at the end of 2011 compared to $16.418 billion at the end of 2010.
“Our success is the result of ongoing efforts to meet the needs of an evolving agriculture and provide an intense focus on the customer experience,” said Doug Stark, President and CEO. “These financial successes also enable the ability to fulfill our mission as a cooperative and pay significant cash-back dividends,” Stark added.
FCSAmerica’s financial results and continued strength enabled a $130 million cash-back dividend distribution to its customer-owners under FCSAmerica’s 2011 patronage program, the largest amount in FCSAmerica history and the eighth consecutive year of the patronage program. Cash-back dividend distributions since 2004 have totaled more than $555 million. The FCSAmerica Board of Directors once again approved a patronage program for 2012, the ninth consecutive year. The 2012 cash-back dividends for eligible customers will be determined in December 2012.
About Farm Credit Services of America
Farm Credit Services of America is proud to finance the growth of rural America, including the special needs of young and beginning producers. With nearly $17 billion in assets, FCSAmerica is one of the region’s leading providers of credit and insurance services to farmers, ranchers, agribusiness and rural residents in Iowa, Nebraska, South Dakota and Wyoming. AgDirect is an equipment financing program offered by FCSAmerica and the partners of AgDirect, LLP. Learn more at www.fcsamerica.com.